The anticipated EU-Vietnam Free Trade Agreement has been postponed until 2020 due to some unsettled issues between the two parties. The deal, which has been in the works since 2015, was on track to be signed this year, but negotiations hit a snag in the final stages.
Both sides are working diligently to resolve the remaining issues to ensure the agreement is beneficial for all parties involved. The EU-Vietnam FTA is expected to boost trade between the two regions by reducing tariffs and other trade barriers.
Vietnam is a rapidly growing economy with a lot of potential for growth, making it an attractive partner for the EU. The Southeast Asian country has been pursuing various trade deals with other countries and regions in recent years, including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Regional Comprehensive Economic Partnership (RCEP).
The EU-Vietnam FTA is particularly important for European businesses as it will provide access to an emerging market with a large consumer base. Vietnam`s young and dynamic population has a growing appetite for European products and services, creating opportunities for exporters from the EU.
Furthermore, the agreement is expected to bring significant benefits to Vietnam`s economy by opening up new markets, increasing foreign investment, and facilitating technology transfer. It will also provide a level playing field for Vietnamese businesses to compete with their European counterparts.
Overall, the EU-Vietnam FTA is an essential step towards strengthening trade relations between the two regions. Although the agreement has been delayed, the parties involved are committed to resolving outstanding issues and signing the deal in 2020. Once ratified, the agreement is expected to create opportunities for businesses on both sides and contribute to the economic development of Vietnam and the EU.